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NASHVILLE, Tenn. (AP) - Federal officials say a pharmaceutical distributor has agreed to pay $18 million to settle a case over temperature monitors used to ship vaccines under a contract with the Centers for Disease Control and Prevention.

The U.S. attorney’s office in Nashville said in a news release Friday that the government alleged McKesson Corp. was required to ensure proper temperatures were maintained by, among other things, setting electronic monitors to detect when air temperature in the box reached certain levels.

San Francisco-based McKesson said in a statement it believes the monitors in use at the time complied with the contract and denies liability but believed a settlement was in the best interest of customers, suppliers and others.

The release said the CDC said temperature monitors were a secondary safeguard with other measures also used.

The release said Terrell Fox of Nashville, a former McKesson employee, raised the allegations initially.